Interest Only Mortgage Calculator
An interest only mortgage has the benefit of having a much lower monthly repayment compared to a repayment mortgage of the same value. The disadvantage is that at the end of the term your will have paid nothing off your house. Some people are comfortable with this on the basis that the mortgage debt over a long period will be much lower due to inflation. While this has certainly been the case over years gone by, it is no guarantee that the same levels of inflation will continue every year.
To use the calculator, simply enter:
- the amount you would like to borrow
- the interest rate
- the mortgage repayment period in either months or years.
You can also calculate monthly payments on a repayment mortgage with this repayment mortgage calculator.